Dear seniors,
One of our employees (sales & marketing) met with an accident on a bike while going for a client meeting. He has been absent since then until the end of April 2012. What shall be the provision for his salary according to the law?
Should we pay him for the days he has been absent from work due to the accident?
Hope to receive your valuable inputs as soon as possible.
From India, Pune
Acknowledge(0)
Amend(0)
2One of our employees (sales & marketing) met with an accident on a bike while going for a client meeting. He has been absent since then until the end of April 2012. What shall be the provision for his salary according to the law?
Should we pay him for the days he has been absent from work due to the accident?
Hope to receive your valuable inputs as soon as possible.
From India, Pune
Acknowledge(0)Amend(0)
According to the Workman’s Compensation Act in lieu of ESIC Act (Employee State Insurance Corporation Act), every employee who is engaged for the purposes of employer's business and who suffers an injury in any accident arising out of and in the course of his employment, shall be entitled for compensation under the Act
The Act applies to any worker employed in factory, mine, plantation, construction work or any other hazardous occupation as listed in Schedule II of the Act &2&3 irrespective of their salary. Nonetheless, no liability arises for an injury attributable to fault of workman, worker under influence of alcohol or drugs, willful neglect or removal of safety rules or safeguard devices, willful disobedience of order given, etc.
The amount of compensation is determined by taking into consideration the nature of injury, average monthly wage of the worker and the relevant factor as laid down in Schedule IV, pertaining to the age of the worker.4 However, the maximum monthly wage for computation of compensation is fixed at Rs. 4,000 at present.
The minimum compensation in case of death is Rs. 800005and maximum is Rs. 4.56 lakh and the same is Rs. 900006and Rs. 5.48 lakh in case of permanent total disability exceeding three days. For the purpose if the disability prolongs beyond 28 days, compensation becomes payable from the date of disablement. The employer is under an obligation to pay the dues of compensation within 30 days from the date it fell due.
Formula for calculating compensation = Monthly wages X age factor x 50/100
http://rajyasabha.nic.in/rsnew/legislation/65OF2009.pdf
<link outdated-removed> ( Search On Cite | Search On Google )
Also can go to this link to get Schedule –II and other :
Workmen Compensation Act-1923 – Schedule IV « Novamining <link updated to site home> ( Search On Cite | Search On Google )
From India, Gurgaon
Acknowledge(0)Amend(0)
The Act applies to any worker employed in factory, mine, plantation, construction work or any other hazardous occupation as listed in Schedule II of the Act &2&3 irrespective of their salary. Nonetheless, no liability arises for an injury attributable to fault of workman, worker under influence of alcohol or drugs, willful neglect or removal of safety rules or safeguard devices, willful disobedience of order given, etc.
The amount of compensation is determined by taking into consideration the nature of injury, average monthly wage of the worker and the relevant factor as laid down in Schedule IV, pertaining to the age of the worker.4 However, the maximum monthly wage for computation of compensation is fixed at Rs. 4,000 at present.
The minimum compensation in case of death is Rs. 800005and maximum is Rs. 4.56 lakh and the same is Rs. 900006and Rs. 5.48 lakh in case of permanent total disability exceeding three days. For the purpose if the disability prolongs beyond 28 days, compensation becomes payable from the date of disablement. The employer is under an obligation to pay the dues of compensation within 30 days from the date it fell due.
Formula for calculating compensation = Monthly wages X age factor x 50/100
http://rajyasabha.nic.in/rsnew/legislation/65OF2009.pdf
<link outdated-removed> ( Search On Cite | Search On Google )
Also can go to this link to get Schedule –II and other :
Workmen Compensation Act-1923 – Schedule IV « Novamining <link updated to site home> ( Search On Cite | Search On Google )
From India, Gurgaon
Acknowledge(0)Amend(0)
Dear Mr. Arora,
Sir, a bit of correction is needed. Please refer to the Amendment dated 31.5.2010 to the WC Act.
1. Revised monthly wage ceiling limit of 50% of Rs. 4000 increased to Rs. 8000.
2. The said act is now referred to as the Employees Compensation Act with enhanced compensation limits and full reimbursement of medical expenses.
3. Case disposal should be within 3 months, etc.
4. It is also applicable to casual and clerical employees.
Now, a new monthly wage-ceiling limit of Rs. 8000 is introduced for the purpose of calculating 50% of it during the computation of maximum compensation under the Act. Hence, the maximum compensation can go up to 50% of 8000, which amounts to Rs. 4000 that shall be multiplied by the Age factor. Thus, effectively it was formerly 50% of Rs. 4000, and now it is 50% of Rs. 8000. The minimum and maximum compensation amounts are now doubled for all categories of disablements and deaths.
This amendment is notified via Central Government Notification No. S.O. 1258(E) under the Ministry of Labour and Employment dated 31st May 2010.
With Regards
From India, Haora
Acknowledge(0)Amend(0)
Sir, a bit of correction is needed. Please refer to the Amendment dated 31.5.2010 to the WC Act.
1. Revised monthly wage ceiling limit of 50% of Rs. 4000 increased to Rs. 8000.
2. The said act is now referred to as the Employees Compensation Act with enhanced compensation limits and full reimbursement of medical expenses.
3. Case disposal should be within 3 months, etc.
4. It is also applicable to casual and clerical employees.
Now, a new monthly wage-ceiling limit of Rs. 8000 is introduced for the purpose of calculating 50% of it during the computation of maximum compensation under the Act. Hence, the maximum compensation can go up to 50% of 8000, which amounts to Rs. 4000 that shall be multiplied by the Age factor. Thus, effectively it was formerly 50% of Rs. 4000, and now it is 50% of Rs. 8000. The minimum and maximum compensation amounts are now doubled for all categories of disablements and deaths.
This amendment is notified via Central Government Notification No. S.O. 1258(E) under the Ministry of Labour and Employment dated 31st May 2010.
With Regards
From India, Haora
Acknowledge(0)Amend(0)
Right thanks Mr. Mohanty for updating me..
The Workmen’s Compensation (Amendment) Bill, 2009 :
-It also amends Schedule II to increase the list of persons who are included in the definition of workmen. For example, the Act only included those people who were employed in repairing or altering any article in a place with more than 20 employees. The Bill includes all persons employed in such work by omitting the requirement that the place should have 20 employees.
-The compensation to employees in case of injury or death is a percentage of their monthly wage or a specified amount, whichever is more. The Bill increases the specified amount in case of death from Rs 80,000 to Rs1.20 lakh. In case of permanent disablement, the amount is increased from Rs 90,000 to Rs 1.40 lakh.
-The Bill allows the central government to revise the monthly wage from time to time.
-The employee shall be reimbursed for any medical expense incurred for treatment of injuries during the course of employment.
-The funeral expense of the deceased workman has been increased from Rs 2,500 to Rs 5,000. It also allows the central government to modify the amount from time to time.
-The state government may appoint any person to be a Commissioner for Workmen’s Compensation. The Bill stipulates that the person should be a member of a State Judicial Service for a minimum of five years or an advocate or pleader for a minimum of five years or a Gazetted officer with minimum of five years service having educational qualification and experience in personnel management, human resource development and industrial development.
-The Commissioner shall dispose of cases related to compensation within a period of three months from the date of reference.
From India, Gurgaon
Acknowledge(0)Amend(0)
The Workmen’s Compensation (Amendment) Bill, 2009 :
-It also amends Schedule II to increase the list of persons who are included in the definition of workmen. For example, the Act only included those people who were employed in repairing or altering any article in a place with more than 20 employees. The Bill includes all persons employed in such work by omitting the requirement that the place should have 20 employees.
-The compensation to employees in case of injury or death is a percentage of their monthly wage or a specified amount, whichever is more. The Bill increases the specified amount in case of death from Rs 80,000 to Rs1.20 lakh. In case of permanent disablement, the amount is increased from Rs 90,000 to Rs 1.40 lakh.
-The Bill allows the central government to revise the monthly wage from time to time.
-The employee shall be reimbursed for any medical expense incurred for treatment of injuries during the course of employment.
-The funeral expense of the deceased workman has been increased from Rs 2,500 to Rs 5,000. It also allows the central government to modify the amount from time to time.
-The state government may appoint any person to be a Commissioner for Workmen’s Compensation. The Bill stipulates that the person should be a member of a State Judicial Service for a minimum of five years or an advocate or pleader for a minimum of five years or a Gazetted officer with minimum of five years service having educational qualification and experience in personnel management, human resource development and industrial development.
-The Commissioner shall dispose of cases related to compensation within a period of three months from the date of reference.
From India, Gurgaon
Acknowledge(0)Amend(0)
Dear Seniors,
Again, I would like to rephrase what Kaushambi has asked. The person is an employee, not a worker. I understand that the act is revised to the Employee Compensation Act. But does it cover an employee drawing a salary of Rs. 1 lakh a month? I asked this question as the maximum ceiling of reimbursement under the act is Rs. 8000 per month. If an employee is drawing a monthly salary of 50k or 1 lakh, it defeats the purpose of providing compensation.
Please share your insights.
Thanks
Best regards,
Kriti
From India, New Delhi
Acknowledge(0)Amend(0)
Again, I would like to rephrase what Kaushambi has asked. The person is an employee, not a worker. I understand that the act is revised to the Employee Compensation Act. But does it cover an employee drawing a salary of Rs. 1 lakh a month? I asked this question as the maximum ceiling of reimbursement under the act is Rs. 8000 per month. If an employee is drawing a monthly salary of 50k or 1 lakh, it defeats the purpose of providing compensation.
Please share your insights.
Thanks
Best regards,
Kriti
From India, New Delhi
Acknowledge(0)Amend(0)Looking for something specific? - Join & Be Part Of Our Community and get connected with the right people who can help. Our AI-powered platform provides real-time fact-checking, peer-reviewed insights, and a vast historical knowledge base to support your search.